We plan to post the June 2003 Internet monthly update to our five
monthly update websites on Tuesday, May 27th.

The June 2003 disk update will be processed Tuesday, May 27th and
Wednesday, May 28th.

Disks will be shipped Wednesday, May 28th. You should have the June
Update in your office by Friday, May 30th. Unless you have made
arrangements to purchase your diskettes, please return your April disks
ONLY AFTER you have successfully installed this May 2003 Update. March
disks are your backup in case you should have problems installing the
April edition.

IMPORTANT NOTE: Subscribers who are receiving disks can save up to $80
per year by switching to updates by Internet. Please read the last
part of this bulletin for full details.

Health Analyzer Progress

During the last week of April we posted our first release of the Health
Analyzer to our U.S. midmonth website.

The option is NOT in May's monthly update, but will again be included
in the very first midmonth update which we will post for May. Given
the significant work that was involved in adding this new feature, we
are concerned about program bugs which may have slipped through
undetected and so we wish to limit exposure to those who are able to
get midmonth updates. If we find an error, it can quickly be repaired
and updated again.

Please Note: Midmonth Internet updates are available to ALL Compulife
subscribers regardless of whether you receive monthly updates by disk
or by Internet. Therefore, if you want the Health Analyzer option for
May, you will need to get the midmonth update by Internet. If you
don't know how to do that, and need some help, give us a call at
800-567-8376.

Providing there are no significant unresolved bugs, Health Analyzer
will be offered in our general release for June.

Health Analyzer - Modified Client Entry Screen

When you run the new version of our program you will note that the
client entry screen layout has been modified so that Health Analyzer is
now the last button on the client entry record (card). If you change
any of the client information such as age, sex, etc., then any previous
Health Analyzer information is automatically erased.

During our testing we discovered that it was easy to erase the Health
Analyzer information if you clicked the Health Analyzer button before
entering all the other client information. Given that, we decided to
change the layout and make the Health Analyzer button the last thing
you do. Incidentally, we think the new layout is an improvement
especially when using multiple client cards for multi-life quotations.

No Change if Button Not Used

It is important to emphasize that if the Health Analyzer button is not
clicked on for a new client, the program will function just as it has
in the past. There will be NO CHANGE in results! The nice thing about
the design of Health Analyzer was that our company and product data
files were untouched by the process. Therefore, DOS users will have
no change in program function, and our Internet engine customers have
no changes to make.

A Check, An X or Nothing

If Health Analyzer has been selected, comparisons will appear as they
have before but they will display a new column next to the premium
results. NOTE: There is one exception to this which applies to
Smoking/Tobacco use. This will be discussed further on.

The new column will display one of three indicators:

1. A Green shaded circle with a check mark.
This is a "GO".

2. A Red shaded circle with an X.
This is a "NO GO".

3. NOTHING. This indicates that we lack the company information
needed to make a decision.

Green for "GO" - Premium and health categories that meet the additional
criteria which was entered by you will be flagged green for "GO".
Based upon the information that was entered and based upon the
information on file for the company's product and health category, the
premium (for that health category) will be flagged green indicating the
premium should be available for the client.

Red for "NO GO". A red X will indicate that one or more of the
client's health criteria were outside the company's tables. You can
click on the red X to discover what criteria caused the red X to
appear. If you have any questions you can contact the Home Office or
General Agent.

If there is no indication (no X or check) this means that we do not
have sufficient information about the company health category
information. This means we may have NO information or it means we
don't have information about the area you examined in the Health
Analyzer option. Because it is early, and we do not have the
information for most companies, the former will most likely be the
case.

Smoking/Tobacco Use option

As you know there are non-cigarette options which already exist in our
software under the non-smoking category.

For example, a number of companies will allow non-cigarette tobacco
users to qualify for one or more of their non-smoking or non-tobacco
categories, just as long as the insured doesn't smoke cigarettes. A
number of companies consider pipes and cigars to be non-smoking.

In another example some companies actually have a specific health class
they typically call "tobacco, not cigarettes". If such a class exists
Compulife includes it in our "non-smoking" category. This will not
change unless you use Health Analyzer.

If you do use Health Analyzer, and select the "Smoking/Tobacco Use"
option, and then indicate that the person engages in any of the tobacco
options which follow, then your comparison will become a two pass, two
part result.

On the first pass the system will go through the non-smoking categories
and attempt to find any products which would qualify based upon the
tobacco use that you have described in Health Analyzer. ONLY those
non-smoking products which fall into the parameters specified for
"Smoking/Tobacco Use" in Health Analyzer will be displayed in the first
part of the comparison results. If the product has no health analysis
information on which to base a tobacco use decision, it will not
appear. This top part of the comparison results will be labeled "Non-
Smoker".

If all you examined with Health Analyzer was the Smoking/Tobacco Use,
then all products appearing in the first section will have green
checks. However, if you looked at any of the other factors, then it is
possible the client may have been acceptable based upon tobacco use,
but may have been rejected for some other reason (height/weight, BP or
cholesterol). If the smoking was acceptable, but one of the other
factors failed, then the product will appear with a red X next to the
premium.

Once the non-smoking pass is completed, a second pass will then be made
through the smoking categories. In this second section of the
comparison ALL smoking related products will be quoted and the section
will be labeled "smoker". A green check mark will appear next to each
premium which qualifies based upon the Health Analyzer results. A red
X will appear next to each premium whose tobacco use or other health
factors are outside the parameters entered. If there is no green
check or red X box next to the products, these products are not defined
in the Health Analyzer database.

Having said all this, IF YOU DO NOT USE HEALTH ANALYZER, the system
will work just as it does now. And that's particularly true for DOS
users who will not have any Health Analyzer option.

Smoking/Tobacco Use - A Touchy Issue

We continue to be deeply concerned about what constitutes "smoking" in
the mind of the general public. We believe that consumers understand
"smokers" to be those who smoke cigarettes. Therefore, to label as
"smoking" a product that excludes cigarettes but allows pipe, cigars,
etc., is a serious concern for Compulife. The likelihood that such a
product could be misrepresented as available to a cigarette smoker is
high.

Worse, typical nicotine tests are unlikely to pick up on the
distinction. If a client says they smoke cigars, you would expect
nicotine in the urine. That nicotine will not say cigars or
cigarettes, it will simply say nicotine. If the client is a cigarette
smoker, and says he only smokes cigars, the test is of little use. By
comparison, if the client says they don't smoke anything, but nicotine
shows up, the company is going to have a closer look.

In any regard, Compulife brands cigar/pipe premium categories as "non-
smoker" and we hope that that will give any consumer viewing such a
quote a reason to pause and say, "but I smoke pipe" or "but I smoke
cigars". At that point the agent, NOT COMPULIFE, can explain why a
product quotation which has been identified as for a "non-smoker" can
be available to a "smoker".

In the event Compulife is ever dragged into litigation about this we
can truthfully say in the witness box that our quote was labeled "non-
smoker". We will be able to say it wasn't us that told the consumer
that it was OK to smoke something, it was the agent.

Keeping this in mind, if you double-click on one of the plans in the
"non-smoking" category, the single product display window will label
the quote with the company name for the category, and "NS" in the short
form category. Conversely, if you double-click on one of the products
in the smoking category, the product will come up with the company
category name and the Compulife short form "SM" will be displayed.

On the other hand, it will work a little differently if you begin to
file products to "Pick 12". If you are filing products from the
smoking category the header will identify the quote as "smoker". If
you file even one non-smoking product to Pick 5, the quote will become
a non-smoker quote.

Company Assistance/Participation (or lack thereof)

As we have warned in our previous bulletins and earlier in this
bulletin, we did do not expect that every company would cooperate in
the provision of this health criteria information. In fact the vast
majority have not yet provided details regarding their health criteria.

If you are using the new function, and find that your company's premium
is appearing without the green check or red-X, then you can assume we
do not have the information about your company's categories although we
would like to. If you can be of assistance in getting that information
to us, we would deeply appreciate it.

Pick 12 Multi-Life - Next on the List

Our next effort will be to allow you to file that multi-life quote into
Pick 12.

Currently Pick 12 allows the premiums for only one person. When the
next step is completed Pick 12 will have the ability to display the
total premiums for two people. You will also be able to view and print
the individual premiums for each of the two people.

Effectively this will give you a comparison of multiple companies using
the multi-life function, where each of the multiple companies has the
exact combination of premium categories that you believe each person
can qualify for.

These features will appear in next new version of the Windows program.
We have no intention of implementing any of these improvements into the
DOS program. Once again, while we have no plans to eliminate our DOS
software, and will keep it compatible with our database, the DOS
program is falling further and further behind the Windows software in
capability. That will also hold true for the new Health Analyzer
option.

Multi-life for Up to 5 Individuals

Once the Pick 12 multi-life option is completed, we will go back to the
comparison and allow the comparison of up to a total of 5 individuals
on a multi-life basis. As we mentioned earlier, some companies allow
the discount for husband and wife, but not for business partners. Many
that do allow the discount for business partners, will allow the
discount for more than 2 partners. The multi-life comparison button
for non-spouse will eventually ask how many of the clients to do the
comparison for, and give total premiums for that group. And yes, you
will be able to file that group of 2, 3, 4 or 5 individuals into the
Pick 12. Once this function is completed, multi-life will be wrapped
up.

Dueling Websites

For those who update by Internet, Compulife has gone to great lengths
to provide you with redundancy in our websites. Our main website is:

Whatever we update to compulife.com, we also update to compulife.us or
compulife.cc. If one website goes down, for whatever reason, the other
is ready to serve you. That includes both monthly and mid-month
updates.

For those doing monthly updates by Internet, we rely on three other
websites to supply monthly updates. These are automatically checked
and used by our automatic Internet update software.

Returning Monthly Disk Updates

For those not wanting to return disks there are two ways to eliminate
the problem.

1. Switch to obtaining monthly updates by Internet.

Not only will you eliminate the expense and hassle of returning disks,
you will save $80 per year in subscription fees.

To switch to Internet monthly updates, go to our webpage
www.compulife.com and select the last menu choice "Forms, applications,
instruction tutorials, etc." Under the section "License Agreements",
the third license is the "Internet Update Endorsement". Print the
endorsement. Once you have it, please read it carefully, especially
the part where you agree that you have successfully downloaded and
processed our "mid-month updates". If you haven't done that before,
call us and we'll be happy to take you through the procedure. It's
easy.

2. Disk Purchase Program

The other way to avoid returning the disks and the disk box each month
is to pre-purchase them for $21 per year ($1.75 per month). Once you
do that you can keep them for future reference, throw them away or
return them for a credit (once each year) when you are invoiced for the
following year. $21 costs you less than mailing back disks each month.